Struggling to Pay While Earning That MBA?

A Holding Account

Student loan payments usually come once a school term. That's like having a job that pays only twice a year. To make that money last all term, open a savings account. When you receive your loan disbursements, put them immediately into that account, where you'll hold them while earning interest. Make sure you know exactly how much you spend each month, and only transfer that exact amount into your checking account once each month. Early transfers mean you're burning through those funds too quickly.

Tightening Your Belt

Going back to school means a commitment to your future, and putting some other expenses on hold. Here are some ways to do that:

• Consider an online degree program. Online degrees allow you to work at your own pace, so you can keep working while preparing for a career move.
• Request a deferment of outstanding loans while you're in school. You shouldn't be responsible for any accruing interest while you're a student.
• Seek out business internships while earning your MBA degree. A paid position can keep your debt level down, and the experience can help you earn a higher salary upon graduation.
• Take lunch. You'd be amazed at how expensive eating out regularly can be.
• Use public transportation whenever possible (considering today's gas prices, this is good advice for everyone).
• Ask creditors about pre-paying bills, so you won't have to worry about them while in school. Check whether there are pre-payment penalties.

Being smart with your money now is great preparation for using that MBA degree!

Sources: Bureau of Labor Statistics